Project Budget, Invoice and Expense

You can create a budget for your project, generate invoice and record expense for all your projects in Zoho Projects. You must integrate Zoho Projects with Zoho Invoice or Zoho Books to generate invoice and record expense. An invoice or a bill is an itemized statement of money owed by the customer for a sale. The invoice lists the products or services that are part of the sale, the prices and quantities, the various taxes applied and the discounts given. Expense is the amount spent on purchase of goods. Record these in your invoices for reimbursement. In Zoho Projects, the invoice integration feature is not available in the Free plan.

 Integrate Zoho Books or Zoho Invoice

  1.  Select a project in Projects and then click  in the upper-right corner.

  1. Choose Zoho Apps in Integration. Now, select Activate Invoice or Activate Books in Zoho Invoice/Books.  
  2. Click How to Generate ZSC Key? to get the ZSC key.
  3. If you do not have a user account in Zoho Books or Zoho Invoice, you will be asked to create a new organization.
  4. After you have created and set up your organization, you will be directed to Zoho Invoice or Zoho Books.
  5. In Zoho Invoice or Zoho Books, in the Dashboard, click the Settings icon in the upper-right corner, and then click Integrations.
  6. Click Zoho Invoice ZSC Key or Zoho Books ZSC Key and then click Generate Now to get the new ZSC key.
  7. Copy the Email ID and ZSC key.
  8. In Zoho Projects, enter the copied Email ID and ZSC key. And select an organization to complete the set-up.

While choosing the Organization, the Portal Owner can also enable the Admin and Manager to view and add invoices and expenses.

Note:

  • You can integrate Zoho Invoice or Books, and enable the access privileges for the Admin and Manager in Integrations from the global setup. 

 Create a budget for your project

In Zoho Projects, you can allot a budget for your project to track your invoice and expenses. Project budget can either be based on the amount or on hours. Projects based on budgeted amount will include only invoiced amount, whereas, the projects based on budgeted hours will include only the billable hours.

  1. Navigate to Projects and click New Project in the upper-right corner.
  2. Enter the project details.
  3. Select either Based on Amount or Based on Staff Hours according to the requirement in the Billing Method field.
  4. When you select Based on Amount, enter the amount in numbers. Else, when you select Based on Staff Hours, enter the number of hours respectively.
  5. Click Add Project to proceed.

You can see the project budget details in a graph. Sometimes, you might want to track your project expenses, to manage your estimated and expended budget amount. The overrun amount is the amount that exceeds the estimated amount. In the Dashboard of the selected project, you can view the progress percentage and the Budget Status. (If you don't see the budget status, just click  and enable the Budget Status to view the graph in your dashboard). 

You can see the budgeted hours for a project in a graph. You can track your project hours so that you deliver on time and manage your estimated and actual hours. The overtime hours is the number of hours that exceeds the estimated time period. 

Note:

  • Zoho Invoice free plan allows invoicing up to 5 customers.  You can upgrade your plan to invoice for more customers. 

 Create an invoice

  1. Navigate to your project and select Invoices & Expenses.
  2. Click Create Invoice to create the invoice for your team.

    Note:

    • The Customer name field is mandatory in order to generate the invoice. So, add a customer name if you haven't added yet.
    • You can create invoice only for billable timesheet logs based on the selected invoice type and date range. Only approved time logs will be invoiced, if the "Submit with Approval" option in your Portal Settings is selected. (To enable this: Click  and select Company Profile in Portal Settings. Enable Submit with Approval in Timesheet Approval Process found in the Module Configuration section).
    • If you have not selected the approval option, all the timesheet logs will be invoiced.
  3. Click the + icon beside the Customer Name field.
  4. To add an existing client company, select an existing client from the drop-down.Else, to add a new client company, click the link Add New Client Company and enter the client details accordingly.
  5. Click Add Client Company to proceed.

Note:

  • Generate your invoice in two ways, either with the Timesheets & Expenses or the Expenses option.You can select the option of your choice in the Generation invoice with field.

 Generate invoice with Timesheet and Expenses for a project based on Project Hours

  1. Choose an existing Customer Name or create a new one.
  2. Select Timesheets & Expenses in the Generate Invoice with field.
  3. Enter Rate per hour.
  4. Enter the How to sort data on invoice field. Here, you decide the mode in which the data needs to be projected in the invoice.
    • The following options show up - Projects, Tasks, Bugs, Tasks / Bugs, Users - consolidated Tasks / Bugs and Users - detailed Tasks / Bugs:
      • Projects - A single line item for all the tasks and bugs in the project
      • Tasks - One line item for each task in the project
      • Bugs - One line item for each bug in the project
      • Tasks / Bugs - One line item for each task and bug in the project
      • Users - consolidated tasks/bugs - One line item each for the tasks and the bugs for the selected user in the project
      • Users - detailed tasks/bugs - Separate line items for every task and bug of the selected user(s)
    • In the How to sort data on invoice field, select the  Users - detailed Tasks / Bugs option to generate your invoice with a detailed task-bug split-up.
    • Select the Users - consolidated Tasks / Bugs option to generate an invoice with the consolidated task-bug information.
    • We also support multi-user select for both the Users - detailed Tasks / Bug and Users - consolidated Tasks / Bugs options.
  5. Enter the Show in item name and Show in item description fields.
  6. Enter the Start and End dates respectively and click Create Invoice.

A sample invoice that's generated based on the project hours is here for your reference:

As you can see, the invoice is generated for the project as a whole. Hence the total project hours are taken into account for billing.

 Generate invoice with Timesheet and Expenses for a project based on Staff Hours

  1. Choose an existing Customer Name or create a new one.
  2. Select Timesheets & Expenses in the Generate Invoice with field.
  3. Enter the How to sort data on invoice field. Here, you decide the mode in which the data needs to be projected in the invoice.
    • Since the project's billing is based on the staff hours, the line items are grouped user-wise in the invoice
    • The following options show up - Projects,Tasks,Bugs,Tasks / Bugs,Users - consolidated Tasks / Bugs and Users - detailed Tasks / Bugs :
      • Projects - All the tasks and bugs in the project are billed as a single line item
      • Tasks - A user's tasks are billed as one line item
      • Bugs - A user's bugs are billed as one line item
      • Tasks / Bugs - A user's tasks and bugs together are billed as one line item
      • Users - consolidated tasks/bugs - One line item each for the tasks and the bugs for the selected user in the project
      • Users - detailed tasks/bugs - Separate line items for every task and bug of the selected user(s)
  4. Enter the Show in item name and Show in item description fields.
  5. Enter the Start and End dates respectively and click Create Invoice. 

When you create an invoice for a user whose User Rate is zero, the following error shows up.

Update the Rate Per Hour of the user, if needed or proceed without any changes to generate the invoice. 

A sample invoice that's generated based on the staff hours is here for your reference:

  • When you bill a project based on the staff hours (i.e select Projects from the How to sort data on invoice field), the Qty field in the invoice is always 1. Because the project as a whole is considered as 1 unit and the actual hours logged for the tasks and bugs are not shown in this case. Instead, the mapped user rates are applied at the back-end and the final billed amount is displayed in the invoice. 

 Generate invoice with Expenses only

  1. Select Expenses option in the Generate Invoice with field.
  2. Click Create invoice to proceed.

 Edit/ Delete an invoice

All the invoices created are saved in the Invoices & Expenses tab. Select the required invoice to edit or delete. Click to edit the invoice details and then click Save to update the changes. 

edit-invoice

Note:

  • You can, email or print an invoice as well as export the invoice as a .pdf file.

 Record an expense

Click the Expenses tab in Invoice and Expenses, and then click Create Expense in the upper-right corner to create a new expense record.

Specify the expense details and then click Save to save the expense record.

 Edit/ Delete an expense record

All the expenses recorded are saved in the Invoices & Expenses tab. Select the required expense to edit or delete. Click  to edit the expense details and then click Save to update the changes. Plus, you can click on the attached expense receipt to download.

edit-expense

Note:

  • You can attach, change and delete an expense receipt.
  • The invoice details are displayed in Timesheet, Tasks, and Bugs.
  • Invoice created in Zoho Projects will be listed in Zoho Invoice or Zoho Books.